New Jersey AG probes power broker’s real estate deals

South Jersey Democratic power broker George E. Norcross III is facing renewed scrutiny from state and federal authorities as they investigate his involvement in several real estate deals along the Delaware River waterfront in Camden.

The probe, led by the New Jersey Attorney General’s Office and the FBI, focuses on whether Norcross and his brother Philip, a prominent lawyer and lobbyist, used their political influence to acquire properties and exclude rival developers, the Philadelphia Inquirer reported.

While Norcross has faced previous investigations, no criminal charges have been filed against him.

The current investigation, which has been quietly underway since at least last year, involves subpoenas and interviews with potential witnesses regarding construction costs and Philip Norcross’ participation in economic development meetings with city officials. 

The deals under scrutiny involve notable figures in the Philadelphia real estate and business community, including Carl Dranoff, William P. Hankowsky, and Ira Lubert. The transactions were previously hailed as catalysts for Camden’s revitalization, with Norcross receiving credit for his contributions to the city’s redevelopment.

The investigation poses a threat to Norcross’ legacy and the narrative of Camden’s resurgence that he helped shape. It also comes at a time when Norcross claims to be reducing his political involvement and residing primarily in Florida. 

Over the past 25 years, Norcross has built a formidable political machine in South Jersey, supporting allies at various levels of government.

Norcross has repeatedly denied any wrongdoing and emphasized that previous criminal probes have vetted the tax incentives used in the developments now under investigation. His lawyers have offered to cooperate with the current investigation, but authorities have declined the offer. Norcross’ spokesperson emphasized the positive impact of the tax incentives on Camden’s transformation and the creation of new opportunities.

The exact scope of the ongoing investigation and its overlap with previous probes of Norcross’ business dealings remain unclear. Prior investigations, including those by the U.S. Attorney’s Offices in Philadelphia and New Jersey, have involved subpoenas and notifications to Norcross’ lawyers but did not result in charges. 

The current investigation gained momentum around 18 months ago, coinciding with the nomination of New Jersey Attorney General Matthew J. Platkin, who has previously clashed with Norcross.

The probe centers on specific real estate deals, including a dispute between George Norcross and developer Carl Dranoff over waterfront development rights. Dranoff alleges that he was coerced into giving up valuable development rights by Norcross and his allies. Investigators have also focused on the acquisition of a parking lot and a transaction involving a Camden office complex known as L3.

The Attorney General’s Office has contacted people involved in the negotiations between Dranoff and Liberty Property Trust, subpoenaed information related to ongoing litigation with the City of Camden, and sought details about Philip Norcross’ discussions with city officials. 

The investigation is examining whether fair market value was obtained in the transactions and government approvals involving the Delaware River Port Authority, Camden Redevelopment Agency, Liberty Property Trust, and the Norcross investor group.

Norcross is hardly the only person with significant political ties to be facing an investigation. 

Miami Mayor Francis Suarez, an attorney, has allegedly earned at least $170,000 over the last two years as a consultant for developer Rishi Kapoor’s Location Ventures, which has a project in the city’s Coconut Grove neighborhood, according to the Miami Herald. 

That has prompted ethics and state attorney investigations.

— Ted Glanzer